US FERC sets new methods for oil pipeline rates

摘要

Washington—The US Federal Energy Regulatory Commission issued an order last week outlining new methods for setting marketbased rates for oil pipelines in the wake of a court ruling on the issue. The new approach will take a broader look at competition in the market, rather than focusing solely on a pipeline’s rates. In the same order, FERC upheld its decision to deny market-based rates for the Seaway Pipeline. Enterprise Products Partners and Enbridge in 2012 reversed flow on Seaway to move oil from Cushing, Oklahoma, to the Gulf Coast. The project started with a capacity of 150,000 b/d, and ramped up to 400,000 b/d in January 2013.